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Leeds Locks is evaluating a project that will last 4 years. The equipment necessary for the project will cost $2,000,000 and can be sold for
Leeds Locks is evaluating a project that will last 4 years. The equipment necessary for the project will cost $2,000,000 and can be sold for $281,000 at the end of the project. The asset is in the 5-year MACRS class. The depreciation percentage each year is 20.00 percent, 32.00 percent, 19.20 percent, 11.52 percent, and 11.52 percent, respectively. The company's tax rate is 34 percent. Compute the aftertax salvage value of the project equipment? Multiple Choice $185,460 O $259,036 $302.964 O $281.000 O $224,628
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